AIM Listed Company Insolvencies
The Insolvency Advice Required in the AIM Listed Arena is Highly Specialised.
The Alternative Investment Market (AIM) is a sub-market of the London Stock Exchange (LSE) that is designed to help smaller companies access capital from the public market. AIM listed company insolvencies require the insolvency practitioner to have specialist expertise. Antony Batty, one of our Licensed Insolvency Practitioners, acted as Supervisor of a Company Voluntary Arrangement which reorganised AIM listed Orchard Furniture PLC in 2000. Since that time he has “written the book” on this highly specialised area of insolvency work and has assisted over 20 AIM listed Companies relist, as these client comments demonstrate:
“Antony Batty has recently assisted with the reorganisation and re-listing of two AIM listed companies which I was involved with. His knowledge of this specialist market is unsurpassed – I would highly recommend his services.”
“While administration is never an easy process, it is often a necessary part of restructuring a company like Iconic. I appreciated Antony Batty’s guidance through this particularly complex and stressful period for the company and found his expertise invaluable given that he had dealt with similar situations in the past. I am grateful that together with him and all other interested parties we were able to reach a successful conclusion.”
CEO, Iconic Lab
We work closely with our contacts in the City, including brokers, Nomads, lawyers and corporate finance houses when undertaking work on AIM listed company insolvencies.
Click here for a testimonial from a client listed on the London AIM market – Cogenpower PLC – FOR whom we assisted in a successful restructuring through a Company Voluntary Arrangement.
Run an AIM listed Company?
If your AIM listed company is facing insolvency, the sooner you contact us, the more we can help.
Company Voluntary Arrangements in the AIM Listed Company Sector
A Company Voluntary Arrangement is used to restore solvency to AIM listed companies whose shares have been suspended, often following the insolvency of the Group or its subsidiary companies. Typically the listed company’s only asset will be its investment in its insolvent subsidiaries which will generally be worthless.
A CVA is proposed to creditors and members whereby creditors are invited to swap their debt for new shares in the company. If these proposals are accepted, we work with investors who then form a new Board and invest working capital in the company such that it is returned to solvency and the shares are listed.
The re-listed company is then known as an Investing or Shell company, which is attractive to other companies seeking an AIM listing, as a listing can be gained by reversing into the existing shell rather than the uncertainly of a listing via an Initial Public Offering (“IPO”). The goal is to achieve a liquid market in the shares so that creditors and the old shareholders have a prospect of some recovery.
The only alternative to such a CVA would be the Liquidation of the holding company which would generally result in no recovery for creditors or shareholders.
Recent examples were Digital Learning Marketplace Plc, Tricor Plc, and Silvermere Energy PLC, where we acted as Nominee and Supervisor of “debt swap” CVAs prior to these companies being re-listed on AIM.
Contact us for Specialist Help and Assistance with AIM Listed Company Insolvencies
If you are a director of an AIM Listed Company and you are facing insolvency, contact our specialist insolvency practitioners, or call us on any of the numbers below for a FREE initial discussion.
Also K&W Recovery, trading as Antony Batty and Company, Thames Valley: